HPCI Media Limited - Period Ending 2016-12-31

Registration number: 06716035

HPCI Media Limited

Annual Report and Unaudited Financial Statements

for the Year Ended 31 December 2016

Mint Accounting Ltd
56 King Street
Aberdeen
AB24 5AX

HPCI Media Limited

Contents

Company Information	1
Accountants' Report	2
Statement of Comprehensive Income	3
Balance Sheet	4 to 5
Statement of Changes in Equity	6
Notes to the Financial Statements	7 to 17

HPCI Media Limited

Company Information

Directors

Mr Michael Harrington Mr Steve Maller Mr Colin Bailey-Wood

Registered office

Natraj Building 55 Bermondsey Street London SE1 3XG

Accountants

Mint Accounting Ltd 56 King Street Aberdeen AB24 5AX

Page 1

Accountants' Report to the Board of Directors on the Preparation of the Unaudited Statutory Accounts of
HPCI Media Limited
for the Year Ended 31 December 2016

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of HPCI Media Limited for the year ended 31 December 2016 as set out on pages 3 to 17 from the company's accounting records and from information and explanations you have given us.

As a practising member firm of the Chartered Institute of Management Accountants (CIMA), we are subject to its ethical and other professional requirements which are detailed at http://www.cimaglobal.com/members/.

This report is made solely to the Board of Directors of HPCI Media Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the accounts of HPCI Media Limited and state those matters that we have agreed to state to the Board of Directors of HPCI Media Limited, as a body, in this report in accordance with CIMA. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than HPCI Media Limited and its Board of Directors as a body for our work or for this report.

It is your duty to ensure that HPCI Media Limited has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit of HPCI Media Limited. You consider that HPCI Media Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the accounts of HPCI Media Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts.

......................................

Mint Accounting Ltd
56 King Street
Aberdeen
AB24 5AX

29 September 2017

Page 2

HPCI Media Limited

Statement of Comprehensive Income for the Year Ended 31 December 2016

	Note	2016 £	2015 £
Profit for the year		573,770	282,633
Total comprehensive income for the year		573,770	282,633

The notes on pages 7 to 17 form an integral part of these financial statements.

Page 3

HPCI Media Limited

(Registration number: 06716035)
Balance Sheet as at 31 December 2016

	Note	2016 £	2015 £
Fixed assets
Intangible assets	3	11,250	26,250
Tangible assets	4	22,763	21,184
		34,013	47,434
Current assets
Debtors	5	344,672	330,777
Cash at bank and in hand		1,058,373	525,074
		1,403,045	855,851
Creditors: Amounts falling due within one year	6	(855,162)	(461,159)
Net current assets		547,883	394,692
Total assets less current liabilities		581,896	442,126
Creditors: Amounts falling due after more than one year	6	-	(154,000)
Net assets		581,896	288,126
Capital and reserves
Called up share capital		2,000	2,000
Profit and loss account		579,896	286,126
Total equity		581,896	288,126

For the financial year ending 31 December 2016 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

•	The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
•	The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime and the option not to file the Profit and Loss Account has been taken.

The notes on pages 7 to 17 form an integral part of these financial statements.

Page 4

HPCI Media Limited

(Registration number: 06716035)
Balance Sheet as at 31 December 2016

Approved and authorised by the Board on 29 September 2017 and signed on its behalf by:
 

.........................................

Mr Michael Harrington

Director

The notes on pages 7 to 17 form an integral part of these financial statements.

Page 5

HPCI Media Limited

Statement of Changes in Equity for the Year Ended 31 December 2016

	Share capital £	Profit and loss account £	Total £
At 1 January 2016	2,000	286,126	288,126
Profit for the year	-	573,770	573,770
Total comprehensive income	-	573,770	573,770
Dividends	-	(280,000)	(280,000)
At 31 December 2016	2,000	579,896	581,896

	Share capital £	Profit and loss account £	Total £
At 1 January 2015	2,000	183,493	185,493
Profit for the year	-	282,633	282,633
Total comprehensive income	-	282,633	282,633
Dividends	-	(180,000)	(180,000)
At 31 December 2015	2,000	286,126	288,126

The notes on pages 7 to 17 form an integral part of these financial statements.

Page 6

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

1	General information

The company is a private company limited by share capital incorporated in England and Wales.

The address of its registered office is:
Natraj Building
55 Bermondsey Street
London
SE1 3XG

These financial statements were authorised for issue by the Board on 29 September 2017.

2	Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Tangible assets

Tangible assets are stated in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:

Asset class	Depreciation method and rate
Leasehold improvements	20% on cost
Computer equipment	25% on cost

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Page 7

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Asset class	Amortisation method and rate
Goodwill	25% on cost

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Profit and Loss Account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Page 8

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

3	Intangible assets

	Other intangible assets  £	Total £
Cost or valuation
At 1 January 2016	642,326	642,326
At 31 December 2016	642,326	642,326
Amortisation
At 1 January 2016	616,076	616,076
Amortisation charge	15,000	15,000
At 31 December 2016	631,076	631,076
Carrying amount
At 31 December 2016	11,250	11,250
At 31 December 2015	26,250	26,250

The aggregate amount of research and development expenditure recognised as an expense during the period is £Nil (2015 - £Nil).
 

Page 9

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

4	Tangible assets

	Land and buildings £	Furniture, fittings and equipment  £	Total £
Cost or valuation
At 1 January 2016	49,296	66,998	116,294
Additions	-	15,943	15,943
Disposals	(1,809)	(10,450)	(12,259)
At 31 December 2016	47,487	72,491	119,978
Depreciation
At 1 January 2016	44,659	50,451	95,110
Charge for the year	1,624	10,362	11,986
Eliminated on disposal	(1,809)	(8,072)	(9,881)
At 31 December 2016	44,474	52,741	97,215
Carrying amount
At 31 December 2016	3,013	19,750	22,763
At 31 December 2015	4,637	16,547	21,184

Included within the net book value of land and buildings above is £3,012 (2015 - £4,637) in respect of long leasehold land and buildings.
 

5

Debtors

	2016 £	2015 £
Trade debtors	243,225	280,436
Other debtors	101,447	50,341
Total current trade and other debtors	344,672	330,777

6

Creditors

Page 10

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

	Note	2016 £	2015 £
Due within one year
Bank loans and overdrafts	7	6,890	45,084
Trade creditors		87,275	28,795
Taxation and social security		43,361	33,405
Other creditors		717,636	353,875
		855,162	461,159
Due after one year
Other non-current financial liabilities		-	154,000

Page 11

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

7	Loans and borrowings

	2016 £	2015 £
Current loans and borrowings
Bank overdrafts	160	-
Other borrowings	6,730	45,084
	6,890	45,084

8

Dividends

	2016	2015
	£	£
Interim dividend of £140.00 (2015 - £90.00) per ordinary share	280,000	180,000

9	Related party transactions

Transactions with directors

2016	At 1 January 2016 £	Advances to directors £	Repayments by director £	At 31 December 2016 £
Mr Michael Harrington
During the year the director provided the company with an interest free loan, which is unsecured, repayable on demand and shown under Other Creditors.	(45,084)	40,313	(1,958)	(6,729)
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(77,000)	77,000	-	-
	(122,084)	117,313	(1,958)	(6,729)

Page 12

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Mr Colin Bailey-Wood
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(38,500)	38,500	-	-
	(38,500)	38,500	-	-
Mr Steve Maller
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(38,500)	38,500	-	-
	(38,500)	38,500	-	-

2015	At 1 January 2015 £	Advances to directors £	At 31 December 2015 £
Mr Michael Harrington
During the year the director provided the company with an interest free loan, which is unsecured, repayable on demand and shown under Other Creditors.	(93,610)	48,526	(45,084)
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(77,000)	-	(77,000)
	(170,610)	48,526	(122,084)
Mr Colin Bailey-Wood
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(38,500)	-	(38,500)
	(38,500)	-	(38,500)
Mr Steve Maller
During the year the company repaid in full the outstanding long term loan owing to the director, which had been provided interest free and unsecured.	(38,500)	-	(38,500)
	(38,500)	-	(38,500)

Loans from related parties

Page 13

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

2016	Other related parties £
Advanced	575,877
Repaid	(383,100)
At end of period	192,777

2015

Terms of loans from related parties

During the year Mrs. A. Harrington, the wife of Mr M. Harrington, director, supplied the company with an interest free loan, which is unsecured, repayable on demand and shown under Other Creditors.

10	Transition to FRS 102

There have been no reclassifications or remeasurements on transition to FRS102.

Balance Sheet at 1 January 2015
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		81,928	-	-	81,928
Current assets
Debtors		248,828	-	-	248,828
Cash at bank and in hand		461,116	-	-	461,116
		709,944	-	-	709,944
Creditors: Amounts falling due within one year		(347,623)	-	-	(347,623)
Net current assets		362,321	-	-	362,321
Total assets less current liabilities		444,249	-	-	444,249
Creditors: Amounts falling due after more than one year		(247,610)	-	-	(247,610)
Net assets		196,639	-	-	196,639

Page 14

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Capital and reserves
Called up share capital		(2,000)	-	-	(2,000)
Profit and loss account		(194,639)	-	-	(194,639)
Total equity		(196,639)	-	-	(196,639)

Page 15

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Balance Sheet at 31 December 2015
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Fixed assets
Tangible assets		66,805	-	-	66,805
Current assets
Debtors		355,721	-	-	355,721
Cash at bank and in hand		520,943	-	-	520,943
		876,664	-	-	876,664
Creditors: Amounts falling due within one year		(440,333)	-	-	(440,333)
Net current assets		436,331	-	-	436,331
Total assets less current liabilities		503,136	-	-	503,136
Creditors: Amounts falling due after more than one year		(197,149)	-	-	(197,149)
Net assets		305,987	-	-	305,987
Capital and reserves
Called up share capital		(2,000)	-	-	(2,000)
Profit and loss account		(303,988)	-	-	(303,988)
Total equity		(305,988)	-	-	(305,988)

Page 16

HPCI Media Limited

Notes to the Financial Statements for the Year Ended 31 December 2016

Profit and Loss Account for the year ended 31 December 2015
 

	Note	As originally reported £	Reclassification £	Remeasurement £	As restated £
Turnover		2,609,948	-	-	2,609,948
Cost of sales		(1,530,645)	-	-	(1,530,645)
Gross profit		1,079,303	-	-	1,079,303
Administrative expenses		(760,128)	-	-	(760,128)
Other operating income		42,674	-	-	42,674
Operating profit		361,849	-	-	361,849
Profit before tax		361,849	-	-	361,849
Taxation		(72,500)	-	-	(72,500)
Profit for the financial year		289,349	-	-	289,349

Page 17